AI Tokens Surge as Nvidia Prepares to Release ‘Super Bowl’ Earnings

Nvidia’s revenue has increased 18% between Q3 2023 and Q1 2024 and 262% in the past year.

Key Takeaways

➔ AI-based crypto assets spike as the world’s most valuable tech firm is expected to release a positive Q2 earnings report.

➔ Some tokens saw an increase of up to 70%.

➔ AI and Nvidia are here to stay, regardless of the revenue report.

Artificial intelligence-based crypto assets have surged as much as 70% in the past seven days as all eyes fall on Nvidia’s upcoming second-quarter earnings report.  

AI-focused tokens such as Near Protocol, Artificial Superintelligence Alliance (FET), Bittensor (TAO), and Render (RENDER) have seen gains outpace the broader crypto market over the past week. Proof-of-stake layer-1 network Near’s native token surged 35% to hit a four-week high of $5.20. Artificial Superintelligence Alliance—a consortium of Fetch.ai, Ocean Protocol and SingularityNET—saw even bigger gains, with its FET token surging almost 70% in a week to reach $1.39 on August 26.

On-chain analytics platform Lookonchain observed the big gains and noted odd whale transaction behaviour in FET via an X post. It noted that a whale “seemed to regret selling” at a lower price before spending $2.3+ million USDT to repurchase 1.79 million FET tokens from Binance at a higher price of $1.33 on August 25.  

Other AI-affiliated crypto assets outperforming at the time of writing include TAO, which has gained 26% over the past week and topped $350. RENDER has increased by around 40% over the past seven days, reaching $6.45.  

Most major AI tokens have fully recovered from the market crash earlier in August.  

Nvidia Expected to Share the “Most Important Tech Earnings in Years”

The surge in AI-related assets comes as markets prepare for one of the year’s most significant tech firm earnings reports. On Wednesday, August 28, Nvidia is set to release its Q2 results.

Image: NVDA price year-to-date, by MarketWatch  

One of Wall Street’s most influential tech bulls, Wedbush Securities’ Dan Ives, told Fortune that this is “the most important tech earnings in years.” He believes the tech bull market is driven by demand for new data centre capacity, which is needed to power the plethora of AI chatbots that have emerged in recent years. He added:

“There is one company in the world that is the foundation for the AI Revolution, and that is Nvidia.”

Nvidia’s revenue has increased 18% between Q3 2023 and Q1 2024 and 262% in the past year. Nvidia (NVDA) has skyrocketed 180% over the past 12 months, hitting an all-time high of $135 in mid-June. It has recovered 30% since the market dump in August and traded at just under $130 at the close of markets on Friday, August 23.

Nvidia has the potential for a great second quarter, but will its stock keep rising? It depends; now that the stock has seen a slight rise before the Q2 earnings announcement, there might not be much of a post-earnings rally. However, AI is not a trend that is going to fade away, which makes a Nvidia stock a long-term investment that will grace the markets beyond their latest earnings report.